(Kitco News) - Southern Copper (NYSE: SCCO), one of the world's largest copper producers, announced Friday that the company mined 230,522 tons of copper in Q3 2022, down 6% compared to Q3 2021 (245,146 tons).
The company explained that lower mined copper output was primarily driven by an 11.8% drop in production at its Peruvian operations and at the La Caridad mine (-11.3%) due to lower ore grades and recoveries.
The company's molybdenum production decreased (-24.8%) in Q3 2022 compared to Q3 2021 due to lower production at the Toquepala, Buenavista and La Caridad mines; mined zinc production fell 11.9%; and mined silver production registered a slight increase of 0.6%.
Southern Copper's operating cash cost per pound of copper, including by-product revenue credits, was $1.03 in Q3 2022, an increase of 77.6% compared to the $0.58 reported in Q3 2021, primarily due to higher costs for fuel, energy and explosives.
The company's Q3 2022 net sales were $2,156.9 million, down 19.5% compared to Q3 2021, which was driven by lower metal prices for copper and by-products.
The company's net income in Q3 2022 was $519.0 million, which represented a 40.2% decrease with regard to the $867.6 million registered in 3Q21. However, net income in Q3 2022 represented a 20.1% increase when compared to the $432.3 million registered in Q2 2022.
"After the company resumed operations at our Cuajone facilities in April, a plan was implemented to gradually scale up production to recover volume losses after the 54-day illegal blockage at this mine. At this point, we estimate that our Peruvian operations will reach 94% of the 2022 production plan of 360,900 tons," it said.
Southern Copper is one of the largest integrated copper producers in the world. The company believes it currently has the largest copper reserves in the industry. The company is 88.9% owned by Grupo Mexico. The company operates mining units and metallurgical facilities in Mexico and Peru and conducts exploration activities in Argentina, Chile, Ecuador, Mexico and Peru.
|
| Glencore says its copper production down 14% in 9M 2022, tightens 2022 guidance ranges |
